Camair-Co: The cost of aviation sovereignty in question

Despite presidential instructions in 2020, the national airline is sinking into a structural crisis. The absence of a global plan, costly strategic choices and abyssal losses threaten the survival of Cameroon's star.

In July 2020, faced with an alarming financial situation, marked by 101.5 billion FCFA in accumulated losses, the Head of State prescribed emergency measures: the drafting of a comprehensive restructuring plan, the regaining of control over management and the opening of 51% of the capital to a strategic partner. Four years later, the finding made by the Court of Auditors is clear: the presidential directives have remained a dead letter.

In place of the expected ambitious plan, only partial and uncoordinated measures were taken. As a result, the financial drift has worsened. Between 2021 and 2023, the carrier accumulated an additional 53 billion FCFA in losses, keeping its equity in the red.

Short-term steering

To maintain activity at all costs, managers have prioritised flight continuity on the basis of loss-making budgets, to the detriment of profitability. No transport route is currently profitable. Favouring the short term, the company is flying blind:

· An incomplete fleet: of the 15 billion FCFA mobilised to rehabilitate the fleet, only three aircraft are flying. Two Boeings remain stuck in maintenance in Ethiopia due to a lack of resources; 

· Ruinous leasing choices: to compensate for the lack of aircraft, management relies structurally on "wet leasing", the rental of aircraft with crew and maintenance. This formula, which is normally a temporary solution, is extremely costly. Best practice in the sector points more towards "dry leasing".

· Ineffective downsizing: despite the dismissal of 189 employees, reducing the payroll from 6.6 to 3.5 billion FCFA, annual losses stagnate between 13 and 16 billion.

What future for the national carrier?

The persistence of structurally loss-making operations calls into question the very purpose of public support. If the survival of the airline meets an imperative of national independence, protecting the general interest requires choosing between maintaining aviation sovereignty and controlling public spending.

In the end, the court makes seven (07) recommendations to improve the management of this company.